ExxonMobil runs new PNG LNG plant at full capacity

“Having reached full capacity within three months of startup is exceptionally good performance by comparison with most international LNG projects,” said Neil Beveridge, an Asia-based analyst.

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By JAMES PATON

Bloomberg

ExxonMobil, operator of a $19 billion liquefied natural gas
(LNG) project in Papua New Guinea, said the development is
producing at full capacity after starting ahead of schedule
earlier this year.

The milestone follows an increase in output in the last few
months, Exxons PNG unit said Monday in an e-mailed
response to questions.

The plant was expected to be operating at full capacity by
the end of 2014, according to a report last week from
Citigroup.

Having reached full capacity within three months of
startup is exceptionally good performance by comparison with
most international LNG projects, said Neil
Beveridge, a Hong Kong-based oil and gas analyst at Sanford
C. Bernstein.

The project in the Pacific nation with
partners including Oil Search and Santos is targeting an
increase in Asian demand for natural gas. The companies are
considering an expansion of the development after
shipments began from the initial phase in May.

The first stage has a capacity of 6.9 million tpy of LNG. The
development has long-term contracts with Tokyo Electric Power
Co., CPC Corp. of Taiwan, Osaka Gas Co. and China Petroleum
& Chemical Corp.